Standard reducing-balance EMI formula, the same method banks use. Actual offers add processing fees, insurance, and rate spreads based on your credit profile - treat this as the baseline instalment for comparing loans, not a sanctioned quote.
Loan EMI Calculator for Home, Car, and Personal Loans
The Tools Kit's free EMI Calculator shows the equated monthly instalment on any loan, along with the total interest you will pay and the total amount repaid over the tenure. Pick a home, car, or personal loan preset, enter the loan amount in rupees, and adjust the interest rate and tenure to compare offers before you apply.
A ₹25 lakh home loan at 8.5% for 20 years works out to an EMI of ₹21,696 a month. Over 240 instalments you repay ₹52,06,939, so the interest alone is ₹27,06,939, slightly more than the amount you borrowed. The calculation runs entirely in your browser; nothing you type is sent anywhere.
How to Use the EMI Calculator
- 1
Pick the loan type
Choose Home loan, Car loan, or Personal loan. Each preset loads a typical rate and tenure (8.5% for 20 years, 9.5% for 7 years, or 12% for 5 years) that you can overwrite.
- 2
Enter the loan amount
Type the principal in rupees. Commas and spaces are ignored, so 25,00,000 and 2500000 give the same result.
- 3
Set the interest rate and tenure
Enter the annual interest rate quoted by your lender and the tenure in years. A fractional tenure such as 2.5 years is converted to 30 monthly instalments; one that does not make whole months, like 1.3 years, shows an error, as does a negative rate.
- 4
Read the EMI, total interest, and total payment
The monthly EMI, the total interest over the tenure, and the total amount repaid update instantly as you change any field.
Switching the loan type resets only the rate and tenure; the loan amount you entered stays as it is, so you can see the same principal under different loan terms.
EMI Formula and How EMI Is Calculated
Every amortized loan uses the same reducing-balance formula: EMI = P × r × (1 + r)n ÷ ((1 + r)n − 1). P is the principal, r is the monthly interest rate (the annual rate divided by 12, then by 100), and n is the number of monthly instalments. The calculator rounds the result to the nearest rupee.
Worked example: for ₹25,00,000 at 8.5% for 20 years, r = 8.5 ÷ 12 ÷ 100 = 0.0070833 and n = 240. Plugging these in gives an EMI of ₹21,696. Multiplying the unrounded EMI by 240 gives a total payment of ₹52,06,939, and subtracting the principal leaves total interest of ₹27,06,939.
Because interest is charged on the balance still outstanding, early EMIs are mostly interest. In the first month of that loan, about ₹17,708 of the ₹21,696 goes to interest and only about ₹3,988 reduces the principal. The split shifts towards principal every month. The same arithmetic sits behind the general loan calculator and, for US-style home loans with property tax and insurance, the mortgage calculator.
Home Loan EMI vs Tenure: The Trade-off
A longer tenure lowers your monthly EMI but increases the total interest, because the balance stays outstanding for longer. The figures below are for a ₹25 lakh home loan at 8.5%.
| Tenure | Monthly EMI | Total interest | Total payment |
|---|---|---|---|
| 15 years | ₹24,618 | ₹19,31,328 | ₹44,31,328 |
| 20 years | ₹21,696 | ₹27,06,939 | ₹52,06,939 |
| 25 years | ₹20,131 | ₹35,39,203 | ₹60,39,203 |
Moving from 15 to 25 years saves about ₹4,500 a month but adds roughly ₹16 lakh of interest. If the EMI is comfortable, a shorter tenure is almost always cheaper. To judge what EMI your salary can carry, work out your monthly take-home with the CTC to in-hand salary calculator and check your tax outgo with the income tax calculator for India.
Car Loan and Personal Loan EMI
The car loan preset loads 9.5% for 7 years: an ₹8 lakh car loan on those terms costs ₹13,075 a month, with ₹2,98,316 of interest. The personal loan preset loads 12% for 5 years: a ₹5 lakh personal loan comes to ₹11,122 a month and ₹1,67,333 of interest. These presets are typical starting points, not quotes, so replace them with the rate your lender actually offers.
If you are weighing a loan against saving up first, the SIP calculator shows what the same monthly amount could grow to if invested instead. And if you are clearing revolving debt rather than taking a fixed-term loan, the credit card payoff calculator models how long a balance takes to clear at a given monthly payment.
What the EMI Calculator Does Not Include
The result assumes a fixed interest rate for the whole tenure and no part-payments. It does not add processing fees, loan insurance, or GST on those fees, and it does not model floating-rate resets or prepayment. To estimate the effect of a rate change or a prepayment, enter the outstanding balance, the new rate, and the remaining years as a fresh loan.
Common uses
- Checking the monthly EMI on a home loan offer before applying
- Comparing 15, 20, and 25-year tenures to see the total interest cost
- Working out a car loan EMI at the dealership after the down payment
- Budgeting a personal loan EMI against monthly take-home pay
- Comparing two lenders' interest rates on the same loan amount
More money tools, from GST to compound interest, are in the calculator tools collection.
EMI calculator terms explained
| Term | What it means here |
|---|---|
| EMI | Equated monthly instalment: the fixed amount paid every month until the loan is repaid, covering both interest and principal |
| Principal (P) | The loan amount you borrow, before any interest |
| Rate of interest (r) | The annual rate divided by 12 and by 100 to get the monthly rate used in the formula |
| Tenure (n) | The repayment period in months; 20 years is 240 EMIs |
| Reducing balance | Interest is charged each month only on the principal still outstanding, not on the original loan amount |
| Total interest | Total payment minus principal: the real cost of borrowing over the whole tenure |
| Amortization | The gradual repayment of principal through EMIs; early EMIs are mostly interest, later ones mostly principal |
Home loan EMI by amount
Pre-computed EMIs at typical home-loan rates and tenures for the amounts people look up most.
- ₹5 lakh home loan EMI (₹4,339/mo)
- ₹10 lakh home loan EMI (₹8,678/mo)
- ₹15 lakh home loan EMI (₹13,017/mo)
- ₹20 lakh home loan EMI (₹17,356/mo)
- ₹25 lakh home loan EMI (₹21,696/mo)
- ₹30 lakh home loan EMI (₹26,035/mo)
- ₹40 lakh home loan EMI (₹34,713/mo)
- ₹50 lakh home loan EMI (₹43,391/mo)
- ₹75 lakh home loan EMI (₹65,087/mo)
- ₹1 crore home loan EMI (₹86,782/mo)
Frequently Asked Questions
EMI = P × r × (1 + r)^n ÷ ((1 + r)^n − 1), where P is the loan amount, r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is the tenure in months. A ₹25 lakh loan at 8.5% for 20 years gives r = 0.0070833 and n = 240, for an EMI of ₹21,696.
At 8.5% for 20 years, the EMI is ₹21,696 a month. Over 240 months you repay ₹52,06,939, of which ₹27,06,939 is interest. At 9% for the same tenure the EMI rises to ₹22,493.
At 8.5% for 20 years, the EMI on a ₹50 lakh home loan is ₹43,391 a month, with total interest of about ₹54.1 lakh. Over 15 years the EMI rises to ₹49,237, but total interest falls to about ₹38.6 lakh.
Yes, but it raises the total interest. On ₹25 lakh at 8.5%, a 15-year tenure costs ₹24,618 a month and ₹19.3 lakh in interest, 20 years costs ₹21,696 and ₹27.1 lakh, and 25 years costs ₹20,131 and ₹35.4 lakh. Going from 15 to 25 years saves about ₹4,500 a month but adds roughly ₹16 lakh of interest.
Select Car loan to load 9.5% for 7 years, then enter the amount you are financing after your down payment. An ₹8 lakh car loan at 9.5% for 7 years works out to ₹13,075 a month, with ₹2,98,316 of total interest.
Select Personal loan to load 12% for 5 years, then enter the loan amount and the rate your lender offers. A ₹5 lakh personal loan at 12% for 5 years has an EMI of ₹11,122 and total interest of ₹1,67,333.
Interest is charged on the outstanding balance, which is highest at the start. On ₹25 lakh at 8.5%, the first month’s interest is about ₹17,708, so only about ₹3,988 of the ₹21,696 EMI reduces the principal. The principal share grows every month as the balance falls.
The reducing-balance formula is the one banks and NBFCs use, so for the same amount, rate, and tenure the EMI should match to within a rupee of rounding. Your actual offer can differ because the rate is priced to your credit profile and lenders add processing fees and insurance, which this calculator does not include.
No. It assumes a fixed rate for the full tenure and no part-payments. To see the effect of a rate change, re-enter the new rate and the remaining balance and tenure; for a prepayment, enter the reduced outstanding balance.
With a 0% rate, the EMI is simply the loan amount divided by the number of months, and total interest is zero. ₹25 lakh over 20 years at 0% is ₹10,417 a month. Many "no-cost EMI" offers recover the interest through a discount you give up or a processing fee instead.
Reviewed by Raja Jahangir · Last reviewed: October 2026
How is EMI calculated on a loan?
Yes, a longer tenure spreads the same principal over more months, so each EMI falls, but total interest rises because the balance is outstanding for longer. Stretching a ₹25 lakh loan at 8.5% from 15 to 20 years cuts the EMI by roughly ₹2,900 a month yet adds about ₹7.8 lakh of interest overall.
Does a longer tenure reduce EMI?
Yes, a longer tenure spreads the same principal over more months, so each EMI falls, but total interest rises because the balance is outstanding for longer. Stretching a ₹25 lakh loan at 8.5% from 15 to 20 years cuts the EMI by roughly ₹2,900 a month yet adds about ₹6.5 lakh of interest overall.
Runs in your browser. Your files and text never leave your device - nothing is uploaded.